Are private mediation services the future for small claims and how can law firms get in on the act? David Marshall reports
The small claims track limit for non-personal injury and housing claims has risen which will reduce the number of cases where legal costs can be recovered. The government has also indicated that it wishes to encourage parties to mediate such cases. Solicitors should examine how they might offer mediation services as an alternative to traditional litigation services for such cases.
Proposed rise in small claims track limit
Most civil disputes up to a value of £5,000 which are issued in court were previously allocated to the small claims track (although personal injury and housing claims, where general damages are expected to exceed £1,000, were assigned to the fast track). In 2011, the Ministry of Justice consulted on extending the small claims track limit to £15,000. Following the consultation (Solving disputes in the county courts: creating a simpler, quicker and more proportionate system: CP6/2011) the government decided that initially the
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